Companies /Consumer Cyclical

Best Buy Co. Inc

NYSE: BBY Specialty Retail
$83.56
▼ $3.88 (−4.44%) today
Markets closed · 4:23am ET

Q1 2026 Earnings

Reported May 29, 2025, 7:00am ET · SEC source
$1.15
Beat +5.04%
EPS · est. $1.09
$8.8B
Miss −0.56%
Revenue · est. $8.8B
+1.9%
Beating market
BBY vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−5%0+5%May 29May 30report 7:00am ETearnings−1.4%−5.1%
−5%0+5%May 29May 30earnings−1.4%−5.1%
BBY −5.1%S&P 500 −1.4%
−5%0+5%May 29May 30report 7:00am ETearnings−2.5%−5.1%
−5%0+5%May 29May 30earnings−2.5%−5.1%
BBY −5.1%NASDAQ −2.5%
−5%0+5%May 28Jun 6report 7:00am ETearnings+0.8%+2.3%
−5%0+5%May 28Jun 6earnings+0.8%+2.3%
BBY +2.3%S&P 500 +0.8%
−5%0+5%May 28Jun 6report 7:00am ETearnings+0.6%+2.3%
−5%0+5%May 28Jun 6earnings+0.6%+2.3%
BBY +2.3%NASDAQ +0.6%
−7.27%
Day of report
−0.06%
Next session
+6.24%
One week
+6.53%
30 days

S&P 500 over the same 30 days: +4.68%.

Did BBY Beat Earnings? Q1 2026 Results

Best Buy delivered a mixed first quarter for fiscal 2026, posting adjusted diluted EPS of $1.15 against a consensus estimate of $1.0948 — a 5.04% beat — while revenue of $8.77 billion came in just short of the $8.82 billion Wall Street expected, falling 0.9% year-over-year. The profit outperformance was partly overshadowed by $109 million in restructuring charges tied to Best Buy Health, which widened the gap between GAAP earnings of $0.95 per share and the adjusted figure. On the top line, a 0.7% comparable sales decline in the Domestic segment — a meaningful improvement from the 6.1% drop a year ago — reflected strength in computing and mobile phones, offset by weakness in home theater and appliances. <a href="https://247wallst.com/investing/2026/03/03/best-buys-leaner-cost-structure-drives-post-earnings-rally/">Services and membership growth</a> helped lift domestic gross margins by 10 basis points. Looking ahead, the company trimmed its full-year revenue outlook to $41.10 billion–$41.90 billion and narrowed adjusted EPS guidance to $6.15–$6.30, citing tariff pressures while assuming no material shift in consumer behavior — a caveat that sent shares down roughly 8% following the report.

Key Takeaways
  • Computing and mobile phone categories drove 5.8% domestic comparable sales growth
  • Domestic online revenue increased 2.1% on a comparable basis
  • Services category including membership offerings improved gross profit rate
  • Home theater, appliances, and drones were largest drags on comparable sales
  • Best Buy Health business caused rate pressure on gross profit and incurred restructuring charges
  • Lower profit-sharing revenue from private label and co-branded credit card arrangement
  • International segment impacted by approximately 450 basis points negative foreign currency effect
  • Favorable indirect tax settlement reduced domestic adjusted SG&A

“I'm proud of how our teams have been navigating the environment and planning our business within dynamic macroeconomic conditions. Against this backdrop, we executed well in Q1 and delivered in-line revenue and better-than-expected adjusted operating income.”

Best Buy CEO, on the earnings call

Forward Guidance & Outlook

Best Buy updated FY26 guidance to reflect tariff impacts: revenue of $41.1B–$41.9B (down from $41.4B–$42.2B), comparable sales of -1.0% to +1.0% (down from 0.0%–2.0%), adjusted operating income rate of approximately 4.2% (down from 4.2%–4.4%), adjusted diluted EPS of $6.15–$6.30 (down from $6.20–$6.60), and capex of approximately $700M (from $700M–$750M). The adjusted effective tax rate remains approximately 25.0%. For Q2 FY26, the company expects comparable sales to be slightly down year-over-year and an adjusted operating income rate of approximately 3.6%. Guidance assumes tariffs stay at current levels and no material change in consumer behavior from recent trends.

BBY YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$3.0B$6.0B$9.0B$8.8B$8.8BRevenue$2.1B$2.0BGross Profit$327.0M$219.0MOperating Income$246.0M$202.0MNet Income
$0$3.0B$6.0B$9.0BRevenueGross ProfitOperating IncomeNet Income

BBY Revenue by Segment

Domestic$8.1B−0.9%
International$640.0M−0.6%

BBY Revenue by Geography

Domestic
International

Figures from SEC filings and company reports. Not investment advice.